June 13, 2025
NYS COUNCIL ‘MEMBERS ONLY’ TIME-LIMITED LEARNING COLLABORATIVE
Save the dates! Plan to Attend!
June 20 from 10-11 via Zoom
June 27 from 10-11 via Zoom
July 17th from 10-11 via Zoom
(Future dates to follow. We will host up to 6 Collaborative meetings in total, based on member need and member feedback. )
Join NYSCCBH’s Learning Collaborative on Adapting to Changes in Federal Policy with HMA Consultants
This series of meetings has been established to help NYS Council members plan and adapt appropriately to the rapid and significant changes emanating from the federal government. We will focus on adapting to changes in federal financial support, regulatory structures, rules, and requirements. HMA’s Josh Rubin and Cara Henley will guide us as we try to anticipate and prepare for whatever comes next. In addition, NYSCCBH members will be able to share what they are doing, what they are struggling with, and where they are succeeding so that we can all support each other during these challenging times.
During our first session, on June 20th, we will review the budget projection tool we recently sent to all members. HMA will talk about how the projections are made, answer any questions you have, and offer some guidance about how to think about the results and use them in your preparedness activities.
Details: This Learning Collaborative is available to NYS Council members in good standing. We will be sending a link to agencies that have renewed their 2025 membership with the NYS Council as of June 16) on June 18th. If you would like to make arrangements to pay your 2025 dues, please get in touch with Cindy Levernois at: cindy@nyscouncil.org. If you would prefer to talk to me, I’m here to help: lauri@nyscouncil.org or 518 461-8200.
*NYC member agencies that ordinarily complete their dues payment by July 1 are strongly encouraged to do so (by 7/1).
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RFK Jr.’s record on drug epidemic raises concern among advocates
Addiction was once a marquee issue for Kennedy and remains a top U.S. health crisis. Deep cuts to HHS treatment programs worry recovery advocates.
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IMMIGRATION AND NONPROFITS
We have learned from the National Council of Nonprofits (NCN) through NYCON (the New York Council of NonProfits) that two Congressional committees have launched investigations into nonprofits that help immigrants or are involved with the growing number of demonstrations across the U.S. protesting federal deportation of immigrants. Here’s a message from the National Council of Nonprofits (below):
If your nonprofit receives a letter from a Congressional office on this topic, please let me know (mallen@nycon.org) and I will connect you with resources. Also, don’t panic or rush to respond; according to NCN, a group of seasoned lawyers are already coordinating a pro bono defense.
To those and all nonprofits, as we continue to navigate multiple federal actions harming nonprofits and the communities we serve: You are not alone! We are continuing to work hand-in-hand with NCN, as well as a growing number of partners to do all that we can in this ever-evolving federal environment.
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RESOURCES
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No Exceptions: Examples Showing the Failings of Medicaid Work Requirement Exemptions for People with Disabilities By Gelila Selassie and Jennifer Lav *Guest author Gelila Selassie is a Senior Attorney at Justice in Aging As the Senate prepares to vote on the largest Medicaid cuts in history, one of the most troubling measures included in the budget bill, called the “One Big Beautiful Bill” Act, is work requirements crafted to strip vital coverage from millions of people. While the bill purportedly exempts people with disabilities from the onerous work requirements, inevitably many people with disabilities will be swept up in this massive new mandate. People with disabilities will be at risk. |
| Read Blog |
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NYS LEGISLATIVE SESSION
Here in New York, a bill that would reform the non-profit contracting process with NYS – S7001/A7616 – passed the Senate before lawmakers went home yesterday (the Assembly will be in town next week – the Senate is done for the moment although lawmakers may be called back during the summer depending on outcomes of Budget Reconciliation in Washington).
As of this writing, we are waiting for an Assembly vote, hopefully by the end of this session (next week) although the bill has not progressed far in the Assembly at this point.
Here’s more about the legislation (at link and below): https://www.nysenate.gov/legislation/bills/2025/S7001
Reminder: This bill focuses on non-profit contracting with New York State.
SUMMARY OF SPECIFIC PROVISIONS: Section 1 amends subdivisions 9 and 14 of section 179-q of the state finance law to include within the definition of “renewal contract” a new contract providing similar services delivered under a previous contract and to amend the definition of “written directive” to require the inclusion of a schedule of invoices and payments within the written directive and to require written directives to include instructions on how to access the not-for-profit short term revolving loan fund program.
Section 2 amends subdivision 1 of section 179-s of the state finance law to establish rules for when an agency requests that a not-for-profit commence services prior to execution of a contract, including, establishing a work and payment schedule, and requiring late payments be subject to interest. Section 3 amends subdivisions 1, 2, 3, and 4 of section 179-u of the state finance law to establish automatic advance payments after a contract has been executed and to establish rules for advance payments, including the creation of a written directive, when the execution of a contract is delayed more than 30 days. Section 4 repeals subdivision 7 and amends subdivisions 1 and 2 of section 179-v of the state finance law to remove the ability of a state agency and a not-for-profit to waive interest due; to require all interest due to a not-for-profit be paid in full with the first payment made to the not-for-profit; and to establish that interest due shall be at the current prime interest rate. Section 5 amends subdivisions 1 and 4, and adds a new subdivision ‘5 to section 179-z of the state finance law to increase the maximum loan amount from one-half of the first quarter payment to the full contract amount and to require that information on the revolving loan funds be provided to every not-for-profit that receives a written directive, contract, or renewal contract. Section 6 amends section 179-aa of the state finance law to require the not-for-profit advisory committee to comment and report on the not-for- profit revolving loan fund and to require that the advisory committee reports be made available to the public via the web. Section 7 amends subdivision 3 and adds new subdivisions 4 and 5 to section 179-ee of the state finance law to establish a time period for approval of contract modifications and to require that modification be deemed approved when a state agency fails to respond to a request for modification; to establish that the minimum indirect cost for a not-for- profit be 15%; and to define certain expenses as direct expenses. Section 8 amends paragraphs (a) and (e) of subdivision 2, and subdivision 3 of section 179-f of the state finance law to clarify that contractors who do not receive advances may pay subcontractors after receipt of payment on an invoice and to clarify that stop the clock notifications should only be used for material defects, not scrivener’s or rounding errors. Section 9 sets the effective date. JUSTIFICATION: New York State has long contracted with not-for-profits to provide critical services in communities throughout the state – from early childhood education and mental health services to homeless housing programs and substance abuse treatment. These social safety net services are provided as an “extension of the state” to millions of New Yorkers every day. But delays in receiving funds to provide such services and a cumbersome contractual process have long challenged not-for-profits. A recent statewide survey of not-for-profits found that 33% of those awarded state funds reported being owed more than $58 million in payments by New York State for services already delivered. Using these findings for all contracts held by nonprofits, New York State owes nonprofits an estimated $650 million statewide. Delays in reimbursement regularly last months and can sometimes last more than a year. Not-for-profits are often forced to pay interest on credit lines so they can make payroll while waiting for reimbursement by New York state interest that is not reimbursed by the state. In a recent survey among the New York Council of Nonprofits’ 3,100 members, the statewide organization found that 65% said they are concerned about funding basic operations in 2025, up from 62% the year before. This bill seeks to make changes to the prompt contracting law to help address not-for-profits’ largest challenges with state funding. Changes include clarifying language in the existing law, expanding the use of written directives, mandating and increasing the interest rate on late payments and more. Similarly, clarifying, standardizing, and streamlining these processes will benefit the state agencies that process these contracts. Addressing these challenges is particularly critical now, as an increasing number of not-for-profits report they are struggling financially. These financial struggles are also directly impacting agencies’ ability to recruit and retain staff to deliver services, a problem that is being further compounded by funding cuts, and the further threat of funding cuts, to not-for-profit services providers at the federal level. PRIOR LEGISLATIVE HISTORY: New Bill.
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SENATE DEMS INTRODUCE NEW LEGISLATION TO ADDRESS FRAUD, WASTE AND ABUSE IN MEDICAID PROGRAM
Article below from Modern Healthcare, 6/12/25 re: Senate Dems response to House GOP preoccupation with (alleged) ‘massive fraud, waste and abuse’ in the Medicaid Program. Of course, this is a smoke screen for House GOP conservatives as they pursue proposals that would gut the Medicaid Program, clearing the way for tax breaks for the wealthiest Americans.
Today in Washington Senate Democrats introduced legislation to target waste, fraud and abuse in Medicaid as the GOP majority hastens to cut more than $800 billion from the program.
The Republicans’ One Big Beautiful Bill Act of 2025 would enact a slew of tax cuts that are at the heart of President Donald Trump’s agenda, partially paid for by slashing healthcare spending by more than $1 trillion over 10 years, with most of the money coming from Medicaid.
Trump and congressional Republican leaders repeatedly insist that their primary interest is rooting out waste, fraud and abuse in healthcare programs such as Medicaid and the health insurance exchanges and that taking hundreds of billions from these areas won’t harm anyone.
Congressional Democrats, citing the nonpartisan Congressional Budget Office, note that the provisions such as work requirements for Medicaid enrollees and stricter eligibility checks and enrollment procedures for Medicaid and the exchanges would cause 10.9 million people to become uninsured.
The Democratic minority in the Congress has little power to stop the bill, which the GOP is advancing through expedited “budget reconciliation” rules that don’t permit Senate filibusters and allow legislation to pass on simple majority votes.
What Democrats can do is highlight what they see as the legislation’s flaws and consequences, and to characterize the Republican mantra on waste, fraud and abuse as a distraction from their plan to cut taxes and take away healthcare from low- and middle-class people.
On Thursday, Senate Finance Committee ranking member Ron Wyden (Ore.) and other Democrats held a news conference to debut healthcare bills including the Health Care Fraud and Abuse Control Act of 2025, which they say would go after actual improper spending.
The legislation would increase funding for federal and state regulatory and law enforcement agencies responsible for tackling healthcare fraud, including the Health and Human Services Department, the Justice Department and state-run, federally supported Medicaid Fraud Control Units.
These dollars would go to fight waste, fraud and abuse in all programs the Centers for Medicare and Medicaid Services runs, including the Children’s Health Insurance Program and the insurance marketplaces.
“For every dollar that you invest in fighting fraud, you get $11 returned to the treasury,” Wyden said. “That is a hell of a good rate of return on investment, and I think that’s a no-brainer.”
Democrats were quick to counter GOP claims that tackling fraudulent expenditures could cover the $2.4 trillion cost of extending the tax policies Trump enacted during his first term.
“As attorney general for eight years, the Medicaid fraud unit was in my office. I had investigators. I had attorneys. We focused on Medicaid fraud,” said Sen. Catherine Cortez Masto (D-Nev.). “I will tell you: There is not enough Medicaid fraud that is going to cover the deficit.”
Senate Democrats outlined other measures at the news conference, including Wyden’s Keeping Obstetrics Local Act of 2025. That bill to fund maternity units in underserved regions aligns with Republican rhetoric about improving healthcare in rural areas.
The minority party also sought to draw a contrast between GOP plans to toughen healthcare program enrollment rules by authoring legislation that would do the opposite.
Sen. Chris Van Hollen (D-Md.) offered the Easy Enrollment in Health Care Act of 2025, which is based on a Maryland law that helps people sign up for health coverage when they file their income taxes. “We should do that nationally,” he said.
“The state will then help determine, based on your income, whether or not you’re eligible and send you a list of options,” Van Hollen said. “The result has been 14,000 Marylanders who were eligible for Medicaid but just couldn’t go through all the bureaucratic hurdles that already exist are now getting the healthcare that they need and that they’re eligible for.”
Other Democratic bills announced at the news conference included measures to fully cover smoking cessation treatments under Medicaid, increase funding for home- and community-based services, add vision, dental and hearing benefits to Medicare, and improve programs to counter opioid addiction.
The Finance Committee is responsible for the lion’s share of the budgetary savings needed to offset the cost of Trump’s tax cuts because it has legislative jurisdiction over Medicaid, the exchanges and Medicare. Finance Committee Chair Mike Crapo (R-Idaho) has not revealed his plans but the Senate Health, Education, Labor and Pensions Committee released its part of the bill Tuesday.
Congressional Republicans aim to deliver the tax-and-spending-cuts bill to Trump by July 4.
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NATIONAL COUNCIL FOR EMOTIONAL WELLBEING ON UNCERTAINTY AND POTENTIAL CHANGES RELATED TO FEDERAL UNCERTAINTY
New leadership in Washington brings new priorities—and for behavioral health organizations, that means uncertainty and potential change. In this episode of No Notes, host Denny Morrison, PhD, speaks with Chuck Ingoglia, President & CEO of the National Council for Mental Wellbeing, and Al Guida, President & CEO of Guide Consulting Services, to explore what the new administration’s policies may mean for Medicaid funding, grant opportunities, and other critical aspects of behavioral healthcare. They’ll also provide insights into how behavioral health leaders can stay proactive and prepared for the road ahead.
Season 2, Episode 1 – Chuck Ingoglia, President & CEO, National Council for Mental Wellbeing, and Al Guida, President & CEO, Guide Consulting Services